Papers, UAW conflict on labor progress

Delphi workers could receive $25,000 to $50,000 each, a report says.
By DON SHILLING
VINDICATOR BUSINESS EDITOR
WARREN -- Are Delphi Corp. and union negotiators making progress or not?
It's hard to tell, said Gary Reiser, president of the union representing 3,800 area workers at Delphi Packard Electric Systems. "It's confusing," he said Thursday after reading conflicting reports.
Two newspapers reported that the United Auto Workers and Delphi are nearing a labor deal to avert a strike. The UAW, however, posted a statement on its Web site Thursday that said, "Nothing could be further from the truth."
"The parties are not close to working out such an agreement. There are many, many significant issues to be resolved," the notice said.
The news stories by the Detroit Free Press and The Wall Street Journal said UAW leaders from Delphi plants have been asked to come to Detroit on Wednesday to learn about many of the details of the potential agreement.
The UAW said, however, that the meeting next week is a routine update.
On the outside
Reiser, president of Local 717 of the International Union of Electrical Workers, said the IUE appears to be on the outside of the talks. He said he isn't aware of any talks going on between union and company negotiators. The IUE represents about 9,000 of Delphi's 33,000 union workers.
Delphi appears to be trying to work out a deal with the UAW first, Reiser said.
The Michigan-based auto parts supplier is threatening to ask a bankruptcy court judge to void its union contracts if a new labor deal isn't reached by March 30.
The UAW and IUE have said they will strike if Delphi imposes its own contract terms. Local 717 is holding a strike authorization vote Sunday.
Buyouts possible
The Journal reported the potential deal with the UAW and Delphi includes buyouts to entice older workers to retire or lump-sum payments to workers whose wages would be cut. These payments, called "buydowns," could be between $25,000 and $50,000 a person, the paper said.
General Motors Corp. also is involved in the talks because it is the former parent of Delphi and has obligations to Delphi workers who aren't needed.
The paper said GM and the UAW are discussing buyout packages that would give about $35,000 to GM workers who retire. They could be replaced by Delphi workers.
No information
Jim Graham, president of UAW Local 1112 in Lordstown, said the UAW hasn't released any information on potential buyouts despite media reports that they are a key part of the negotiations. A meeting of UAW leaders is scheduled for April.
"If they are working on a buyout, I hope to hear about it by the end of the month or mid-April," Graham said.
Nearly half of the 5,000 hourly workers at GM's Lordstown complex have 30 years of service and are eligible to retire at full benefits.
shilling@vindy.com